According to the web search results, India’s TCS (Tata Consultancy Services) is a leading IT services company that has reported its financial results for the third quarter of the fiscal year 2022. The company has announced that it will take a $125 million hit to its Q3 earnings due to a US lawsuit. The lawsuit was filed by Epic Systems, a US-based healthcare software company, in 2014, accusing TCS of stealing its trade secrets and confidential information.
TCS denied the allegations and appealed the verdict, but the US Supreme Court declined to hear the case in December 2021, leaving the lower court’s decision intact. TCS said it will make a one-time provision of $125 million in its Q3 financial statements, reducing its net income by 8.5%. However, the company also said it will continue pursuing all legal options to defend itself and protect its reputation. TCS also said the lawsuit will not affect its long-term growth prospects and customer relationships.
TCS reported a strong performance in Q3, with a revenue of $6.524 billion, a growth of 14.4% year-on-year, and an operating margin of 25%. The company also announced a share buyback of ₹18,000 crore at ₹4,500 per share and a dividend of ₹7 per share. TCS said that it is confident in its ability to sustain its industry-leading growth and profitability and to create value for its stakeholders.
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